MOSCOW, March 17. /TASS/. Russian aluminum giant Rusal’s adjusted net profit under International Financial Reporting Standards (IFRS) declined by 52.8% last year compared to 2021, to $725 million.
The company’s total revenue in the reported period grew by 16.5%, to $13.97 billion.
Adjusted EBITDA decreased by 29.9% to $2,028 million, while its adjusted EBITDA margin decreased to 14.5% (versus 24.1% in 2021).
According to the report, Rusal faced unprecedented pressure and restrictions in 2022 due to the Australian government's ban on the export of alumina and aluminium ores to Russia, as well as the suspension of alumina production at the Nikolayev alumina refinery. Against this backdrop, the company had to urgently look for new suppliers and re-arrange supply chains, which led to a rise in production costs by 30.2%.
"Inflation and geopolitical tensions have provoked an extreme rise in energy and raw material prices, which, along with the strong ruble and complicated logistics, led to a 31.8% increase in the cost of aluminium production to $2,190 per ton (compared to $1,661 per ton in 2021)," the company said.
Rusal is the largest aluminum producer outside of China and the only primary aluminum producer in Russia. En+ Group founded by Oleg Deripaska is the largest shareholder of Rusal with a share of 56.88%. SUAL Partners hold 25.52% of shares.